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Lufax Holding Ltd (LU) Stock: Assessing the Risk and Reward

The stock of Lufax Holding Ltd (LU) has gone down by -23.74% for the week, with a -19.77% drop in the past month and a -40.18% drop in the past quarter. The volatility ratio for the week is 7.66%, and the volatility levels for the past 30 days are 6.49% for LU. The simple moving average for the past 20 days is -15.73% for LU’s stock, with a -42.20% simple moving average for the past 200 days.

Is It Worth Investing in Lufax Holding Ltd (NYSE: LU) Right Now?

Lufax Holding Ltd (NYSE: LU) has a higher price-to-earnings ratio of 2.95x compared to its average ratio, Analysts have varying views on the stock, with 7 analysts rating it as a “buy,” 1 rating it as “overweight,” 8 as “hold,” and 3 as “sell.”

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The average price suggested by analysts for LU is $14.08, which is $1.04 above the current market price. The public float for LU is 2.19B, and currently, shorts hold a 0.90% of that float. The average trading volume for LU on May 24, 2023 was 10.40M shares.

LU) stock’s latest price update

Lufax Holding Ltd (NYSE: LU)’s stock price has gone decline by -8.09 in comparison to its previous close of 1.51, however, the company has experienced a -23.74% decrease in its stock price over the last five trading days.

LU Trading at -24.19% from the 50-Day Moving Average

After a stumble in the market that brought LU to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -80.31% of loss for the given period.

Volatility was left at 6.49%, however, over the last 30 days, the volatility rate increased by 7.66%, as shares sank -18.71% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -29.80% lower at present.

During the last 5 trading sessions, LU fell by -23.63%, which changed the moving average for the period of 200-days by -67.29% in comparison to the 20-day moving average, which settled at $1.6310. In addition, Lufax Holding Ltd saw -28.46% in overturn over a single year, with a tendency to cut further losses.

Stock Fundamentals for LU

Current profitability levels for the company are sitting at:

  • +21.41 for the present operating margin
  • +73.84 for the gross margin

The net margin for Lufax Holding Ltd stands at +12.56. The total capital return value is set at 10.25, while invested capital returns managed to touch 6.76. Equity return is now at value 9.10, with 2.40 for asset returns.

Based on Lufax Holding Ltd (LU), the company’s capital structure generated 54.70 points at debt to equity in total, while total debt to capital is 35.36. Total debt to assets is 15.21, with long-term debt to equity ratio resting at 54.70. Finally, the long-term debt to capital ratio is 35.36.

The receivables turnover for the company is 3.82 and the total asset turnover is 0.19.

Conclusion

In conclusion, Lufax Holding Ltd (LU) has had a bad performance lately. Opinion on the stock among analysts is mixed, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.